Non-agency MBS backed by seasoned collateral, mostly nonperforming and re-performing loans, accounted for 54.3% of new issuance in the second quarter. Securitization of newly originated loans slipped 13.5% from the previous period.

With interest rates falling, refis have spiked, creating a wave of principal pre-payments that the Fed has used to cut its MBS holdings.

Investors in securitized products have proposed various standards for establishing a system for communication among bondholders and issuers.